Peter Spuhler sets the conditions: Power struggle at Swiss Steel escalates

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Dramatic development in the Swiss steel group Swiss Steel: Major shareholder Peter Spuhler (65) is no longer willing to pump more money into the company to make ends meet. With PCS Holding, he holds about 20 percent of the traditional headquartered Swiss company, which has been in crisis for years.

The crisis has worsened in recent weeks. The share price has fallen and is trading at eight centimeters. The company is still worth 250 million francs. The debt burden has risen to almost a billion: from January to June 2023 it has increased by 100 million to 942 million euros. At the same time, sales fell 13 percent. The company is burning money. According to various sources, therefore, a capital increase is inevitable. This is necessary because bank loans must be renewed in 2025.

According to banking circles, the experienced industrial entrepreneur does not understand why he should throw good money after bad money. It was ready to inject money again only if two conditions were met.

Jens Alder must leave immediately

He demands the immediate resignation of Swiss Steel Chairman Jens Alder (66). According to Spuhler, the former Swisscom boss is the wrong man to carry out a successful restructuring at the top of the company. As a former Telecom executive, he knows little about the big industry and has no experience with complex restructuring.

Second condition: The company must present a “definitive restructuring plan,” which has not happened so far. In recent months, management has failed to deliver business plans that could withstand critical scrutiny. In some cases, steel price assumptions were overly optimistic, distorting the forecasts.

Fundamentally, we’re heading in the right direction, but everything needs to go faster. Loss-making parts of the company would have to be sold faster. However, making the necessary changes has been blocked for a year. Martin Haefner (69), who holds 33 percent of Swiss Steel, sided with Jens Alder. Insiders talk of an impasse because Haefner and Spuhler are not heading in the same direction.

The two entrepreneurs have known each other for years. They jointly own shares in the industrial groups Rieter and Autoneum. Haefner is the son of Amag founder Walter Haefner and studied mathematics. It was the Zurich billionaire who brought Stadler Rail’s boss to the central Swiss steel company in May 2021. At that time, Spuhler purchased a ten percent share package from Haefner. In August 2023, it acquired a further eight percent of Amag’s heir.

Spuhler joined Swiss Steel because, as he emphasized several times, it is close to the heart of Swiss industry. He knows the industry: years ago banks sent him to the board of what was then Von Roll and later became Swiss Steel. He also showcased his skills as an innovator at Aebi Schmidt, a specialty vehicles group that he turned into a billion-dollar company.

Martin Haefner: “Good and open relationship”

Peter Spuhler declined to comment Saturday. Martin Haefner told Blick: “I have a good and open relationship with Peter Spuhler and I am determined to maintain a core industry in Switzerland.” He doesn’t want to say anything about restructuring. “As a shareholder, I generally do not comment publicly on the current state of the companies in which I invest.”

Jens Alder said through a spokesman that Swiss Steel Group “generally does not disclose personnel issues publicly.” Alder was elected by the general assembly. As the spokesperson further explained, the aim of the strategy program is “first to place the company on a competitive and healthy basis, and then to achieve profitable growth in the group’s core business.”

The company emphasizes that the steel industry is experiencing “probably the biggest transformation” in recent years. Restructuring is complex and therefore requires “the careful use of all necessary resources in the correct sequence.” Company management is aware of these challenges, opportunities and risks and works in cooperation with the Board of Directors to place the group on a competitive and healthy basis.

Source :Blick